And there’s the opening bell. Stocks are starting the day in the green, with the S&P 500 up around 7 points, or 0.4%, at 1,826, while the Dow Jones Industrial Average gains 55 points, or 0.3%, to 16,313. The Nasdaq Composite advances 20 points, or 0.5%, to 4,133.

If the Dow ends in positive territory it will end a four-day losing streak, which is the longest since a five-day decline that ended on Dec. 5. Monday’s 179.11 point fall, a decline of 1.1%, was the biggest one-day point and percentage decline since Sept. 20.

J.P. Morgan sahres are up around 0.6% in the early going. The bank said earlier that fourth-quarter profit fell 7.3% as the bank struggled with weak results from its investment-banking unit, but managed to beat expectations.

Chip maker Intel Corp. is leading tech stocks to the upside and is the Dow’s top gainer with a rise of more than 2% to $26.05 in recent action. J.P. Morgan analysts upgraded the stock to overweight from neutral and raised the price target to $29 from $20.

“Our research shows that more than 80% of large-cap, mid-cap and small-cap companies are trading above historical average price-to-book valuations. We think current valuations are getting dangerously close to a bubble territory.

The last few times when the vast majority of companies traded at such levels – in 97-98, and in 2005-2007 stock markets crashed shortly after.

Weidner writes that premiums paid for target companies have come down quite a bit while CEOs remain skittish about making big deals. But, if all the necessary conditions are met, deals will flow.

All the players have to do is walk a straight line: the economy needs to show progress, companies need to show backbone, private equity needs to churn. The Federal Reserve can’t mess up. And there can’t be another currency crisis, euro-zone crisis or debt ceiling crisis. If all of these things line up, then the party won’t be over. It will just be starting.

News that Japan Airlines detected smoke from a battery pack onboard a Boeing 787 aircraft on the ground at Tokyo’s Narita airport, spooked investors. Boeing shares dropped as much as 1.7%, but quickly found their footing and are somewhat flat at the moment. More on that, is here.

To read more on what happened to J.P. Morgan and Wells Fargo’s earnings in the fourth quarter, read the story about rising mortgage rates. In a nutshell: rising rates meant fewer refinancings and lower profits for banks. Mortgage party is over, write Ruth Mantell and Christina Rexrode.

Gold futures dropped below $1,250 an ounce on Tuesday, with strength in U.S. equities and a rise in retail sales drawing attention away from the metal, which had reached a four-week closing high a day earlier.

Traders also continued to mull recent economic data, analysts’ price forecasts and physical demand for the metal in an attempt to gauge the metal’s appeal. Read the full story in the Metals Stocks column.

More data emerges showing how hedge funds got left in dust in 2013, writes William Watts in this Tell Blog post.

It seems that it was the “hedge” of being a hedge fund that just wasn’t able to work as stocks saw only mild and brief pullbacks over the course of 2013. (Indeed, the S&P 500 went through all of 2012 and 2013 without posting a year-to-date loss — a streak that ended on Jan. 2 of this year.)

“That’s the question we all face these days,” writes Mark Hulbert, MarketWach columnist, “with cash yielding next to nothing and bonds seemingly such a poor bet.”

“To be sure, the stock market isn’t necessarily doomed just because the bulls are relying on a flawed argument. But if you can’t come up with a better argument for why the stock market should go higher, then you should be looking for ways to cut back your equity holdings rather than increase them.”

Boeing’s 787 and Tesla’s Model S are both packed with lots of technology that rely heavily on the health of their lithium-ion battery packs and, of course, their rechargers. This is cutting-edge stuff. As such, there are bound to be teething problems, and an adoring public is willing to share some of that risk.

Earlier today, Dallas Fed president Richard Fisher, mentioned Peter Boockvar, chief market analyst at the Lindsey Group in his speech, describing the state of the markets.

“Here is a rather pungent quote from a note he sent out on Jan. 2:

“…QE [quantitative easing] puts beer goggles on investors by creating a line of sight where everything looks good…”

We reached out to Peter Boockvar and asked him what he thought of Fisher’s comments.

“Richard Fisher is the only Fed official with market experience, from his hedge fund days, so he is worried about the Fed’s policies affecting the markets. He is doing what a prudent central banker should be doing.

When the Fed pumps $1 trillion a year into the economy it creates bubbles. There is a lot of froth in certain markets, such as Treasuries and junk bonds.

We asked him if he thought the stock markets were in a bubble territory.

Stock markets were not in a bubble territory in 2007, but when the mortgage market collapsed stocks came crashing. This can happen again with the junk bonds. And when stock markets rise 30% when earnings only rise 6%, there is something out of kilter.”

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The Tell is MarketWatch’s fast and engaging look at trends and themes in the day’s markets. Drawing on our reporters, analysts and commentators around the world, as well as selecting the best of the rest online, The Tell is all about the pulse of the markets through news, insight and strategic information to help you make the best investing decisions. Got a tip? Tell us at TheTell@MarketWatch.com